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World Bank Document FOR OFFICIAL USE ONLY Public Disclosure Authorized Report No: PAD3917 INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT PROJECT APPRAISAL DOCUMENT ON A PROPOSED LOAN IN THE AMOUNT OF €183.90 MILLION (US$200 MILLION EQUIVALENT) Public Disclosure Authorized TO THE REPUBLIC OF CROATIA FOR AN EARTHQUAKE RECOVERY AND PUBLIC HEALTH PREPAREDNESS PROJECT June 1, 2020 Public Disclosure Authorized Urban, Resilience and Land Global Practice Europe and Central Asia Region Public Disclosure Authorized This document has a restricted distribution and may be used by recipients only in the performance of their official duties. Its contents may not otherwise be disclosed without World Bank authorization. CURRENCY EQUIVALENTS Exchange Rate Effective: April 30 , 2020 Currency Unit = Euro ( € ) €1.00 = US$1.088 US$1.00 = €0.919 FISCAL YEAR January 1 – December 31 ABBREVIATIONS AND ACRONYMS CBA Cost-Benefit Analysis COVID-19 Coronavirus Disease 2019 CPF Country Partnership Framework DA Designated Account DRM Disaster Risk Management EC8 Eurocode 8 ESF Environmental and Social Framework ESMF Environmental and Social Management Framework ESMP Environmental and Social Management Plan ESS Environmental and Social Standards EU European Union EUSF European Union Solidarity Fund F&C Fraud and Corruption FM Financial Management GDP Gross Domestic Product GEM Global Earthquake Model GHSI Global Health Security Index GRM Grievance Redress Mechanism GRS Grievance Redress Service ICR Implementation Completion and Results Report ICU Intensive Care Unit ICWMP Infection Control and Waste Management Plan IFC International Finance Corporation IFR Interim Financial Report IHR International Health Regulations IPF Investment Project Financing ISP Implementation Support Plan M&E Monitoring and Evaluation MoCPP Ministry of Construction and Physical Planning MoF Ministry of Finance MoH Ministry of Health MoSE Ministry of Science and Education MTR Midterm Review NPP National Procurement Procedures PDO Project Development Objective PforR Program for Results PIU Project Implementation Unit POM Project Operations Manual PPE Personal Protective Equipment PPSD Project Procurement Strategy for Development PSC Project Steering Committee RDNA Rapid Damage and Needs Assessment SEP Stakeholder Engagement Plan SOE Statement of Expenditure SPRP Strategic Preparedness and Response Program STC Short-Term Consultant STEP Systematic Tracking of Exchanges in Procurement TED Tender Electronic Daily UN United Nations VSL Value of a Statistical Life WHO World Health Organization Regional Vice President: Anna Bjerde Country Director: Arup Banerji Regional Director: Steven N. Schonberger Country Manager: Elisabetta Capannelli Practice Manager: David N. Sislen Vica Rosario Bogaerts, Yoshini Naomi Rupasinghe, Task Team Leaders: Zuzana Stanton-Geddes The World Bank Croatia Earthquake Recovery and Public Health Preparedness Project (P173998) TABLE OF CONTENTS DATASHEET ........................................................................................................................... 1 I. STRATEGIC CONTEXT ...................................................................................................... 6 A. Country Context ............................................................................................................................ 6 B. Sectoral and Institutional Context ................................................................................................ 7 C. Relevance to Higher Level Objectives ......................................................................................... 12 II. PROJECT DESCRIPTION .................................................................................................. 15 A. Project Development Objective .................................................................................................. 15 B. Project Components ................................................................................................................... 16 C. Project Cost and Financing .......................................................................................................... 21 D. Project Beneficiaries ................................................................................................................... 22 E. Results Chain ............................................................................................................................... 22 F. Rationale for Bank Involvement and Role of Partners ................................................................ 23 G. Lessons Learned and Reflected in the Project Design ................................................................ 25 III. IMPLEMENTATION ARRANGEMENTS ............................................................................ 26 A. Institutional and Implementation Arrangements ....................................................................... 26 B. Results Monitoring and Evaluation Arrangements ..................................................................... 27 C. Sustainability ............................................................................................................................... 27 IV. PROJECT APPRAISAL SUMMARY ................................................................................... 28 A. Technical, Economic, and Financial Analysis............................................................................... 28 B. Fiduciary ...................................................................................................................................... 30 C. Legal Operational Policies ........................................................................................................... 32 D. Environmental and Social ........................................................................................................... 32 V. GRIEVANCE REDRESS SERVICES ..................................................................................... 34 VI. KEY RISKS ..................................................................................................................... 34 VII. RESULTS FRAMEWORK AND MONITORING ................................................................... 37 ANNEX 1: Implementation Arrangements and Support Plan .......................................... 47 ANNEX 2: Procurement Arrangements .......................................................................... 51 ANNEX 3: Health Sector ................................................................................................ 54 ANNEX 4: Education Sector ........................................................................................... 56 ANNEX 5: Disaster Profile and Climate Change Screening .............................................. 58 ANNEX 6: Earthquake Event Description and Damage Information ................................ 61 ANNEX 7: Country Map ................................................................................................. 64 The World Bank Croatia Earthquake Recovery and Public Health Preparedness Project (P173998) DATASHEET BASIC INFORMATION BASIC INFO TABLE Country(ies) Project Name Croatia Earthquake Recovery and Public Health Preparedness Project Environmental and Social Risk Project ID Financing Instrument Process Classification Urgent Need or Investment Project P173998 Substantial Capacity Constraints Financing (FCC) Financing & Implementation Modalities [ ] Multiphase Programmatic Approach (MPA) [ ] Contingent Emergency Response Component (CERC) [ ] Series of Projects (SOP) [ ] Fragile State(s) [ ] Performance-Based Conditions (PBCs) [ ] Small State(s) [ ] Financial Intermediaries (FI) [ ] Fragile within a non-fragile Country [ ] Project-Based Guarantee [ ] Conflict [ ] Deferred Drawdown [✓] Responding to Natural or Man-made Disaster [ ] Alternate Procurement Arrangements (APA) Expected Approval Date Expected Closing Date 25-Jun-2020 Bank/IFC Collaboration No Proposed Development Objective(s) The Project Development Objective (PDO) is to assist Croatia with earthquake reconstruction efforts in Zagreb and the surrounding areas, improve institutional capacity for reconstruction, and strengthen national systems for public health preparedness. Page 1 of 64 The World Bank Croatia Earthquake Recovery and Public Health Preparedness Project (P173998) Components Component Name Cost (US$, millions) Earthquake Recovery and Reconstruction 180.00 Public Health Surveillance and Preparedness 15.00 Project Management 5.00 Organizations Borrower: Republic of Croatia Implementing Agency: Ministry of Construction and Physical Planning Ministry of Health PROJECT FINANCING DATA (US$, Millions) SUMMARY-NewFin1 Total Project Cost 200.00 Total Financing 200.00 of which IBRD/IDA 200.00 Financing Gap 0.00 DETAILS -NewFinEnh1 World Bank Group Financing International Bank for Reconstruction and Development (IBRD) 200.00 Expected Disbursements (in US$, Millions) WB Fiscal Year 2021 2022 2023 2024 Annual 13.00 33.00 70.00 84.00 Cumulative 13.00 46.00 116.00 200.00 INSTITUTIONAL DATA Page 2 of 64 The World Bank Croatia Earthquake Recovery and Public Health Preparedness Project (P173998) Practice Area (Lead) Contributing Practice Areas Urban, Resilience and Land Education, Health, Nutrition & Population Climate Change and Disaster Screening This operation has been screened for short and long-term climate change and disaster risks SYSTEMATIC OPERATIONS RISK-RATING TOOL (SORT) Risk Category Rating 1. Political and Governance Moderate 2. Macroeconomic High 3. Sector Strategies
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